Arafura Rare Earths (ASX:ARU) completed the first tranche of its AU$350 million share placement on Friday, according to a same-day filing with the Australian bourse.
In the first tranche, the company issued 675.1 million new ordinary shares to institutional and sophisticated investors to generate around AU$175.5 million before costs.
The second tranche, involving the issue of an additional 671 million shares to raise roughly AU$174.5 million, is subject to shareholder approval.
Shares of Arafura Rare Earths gained 2% in recent Friday trade.